Spanish economy grows 0.7% in second quarter while inflation rises to 3.5%

Spain’s economy presented a mixed picture as Gross Domestic Product grew by 0.7% in the second quarter, supported by robust consumer spending. However, preliminary figures show annual inflation accelerated to 3.5% in July, driven primarily by rising fuel and electricity costs.

To support regional governance, the Treasury Ministry pledged a record €185 billion in advance payments to autonomous communities, representing a 9% increase over the previous allocation.

Simultaneously, pressure mounted in the North African enclave of Ceuta, where local leaders requested a national emergency declaration after 1,500 migrants arrived by sea in recent weeks—representing nearly 2% of the territory's population. Spain's Interior Ministry rejected the request, stating that national emergency mechanisms cannot be activated under these circumstances.

Sources: El Mundo, La Vanguardia